11 Analysts Assess Franklin Resources: What You Need To Know

Providing a diverse range of perspectives from bullish to bearish, 11 analysts have published ratings on Franklin Resources BEN in the last three months.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Analysts have set 12-month price targets for Franklin Resources, revealing an average target of $20.0, a high estimate of $22.50, and a low estimate of $18.50. Observing a downward trend, the current average is 2.2% lower than the prior average price target of $20.45.

Investigating Analyst Ratings: An Elaborate Study

The standing of Franklin Resources among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Franklin Resources. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Franklin Resources compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of Franklin Resources's stock. This analysis reveals shifts in analysts' expectations over time.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Franklin Resources's market position. Stay informed and make well-informed decisions with our Ratings Table.

Stay up to date on Franklin Resources analyst ratings.

Unveiling the Story Behind Franklin Resources

Franklin Resources provides investment services for individual and institutional investors. At the end of October 2024, Franklin had $1.631 trillion in managed assets, composed primarily of equity (38%), fixed-income (32%), multi-asset/balanced (11%) funds, alternatives (15%) and money market funds (4%). Distribution tends to be weighted equally between retail investors (53% of AUM) and institutional accounts (45%), with high-net-worth clients accounting for the remainder. Franklin is one of the more global of the us-based asset managers we cover, with 30% of its assets under management invested in global/international strategies and just as much sourced from clients domiciled outside the United States.

Franklin Resources: A Financial Overview

Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

Positive Revenue Trend: Examining Franklin Resources's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 11.33% as of 30 September, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Financials sector.

Net Margin: Franklin Resources's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of -4.23%, the company may face hurdles in effective cost management.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of -0.74%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): Franklin Resources's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of -0.28%, the company may face hurdles in achieving optimal financial performance.

Debt Management: Franklin Resources's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 1.05.

Analyst Ratings: Simplified

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.